SAP ABAP Message Class C+ Message Number 754 (Price of procurement alternative &1 is negative)

Hierarchy

☛ BBPCRM (Software Component) BBPCRM
   ⤷ CRM (Application Component) Customer Relationship Management
     ⤷ CRM_APPLICATION (Package) All CRM Components Without Special Structure Packages
       ⤷ CKML (Package) Material ledger

Attribute

Message class	C+
Short Description	Material ledger messages
Message Number	754
Documentation status		Space: object requires documentation
Authorization check Error Message	☐
Changed On	20130531

Message Text

Price of procurement alternative &1 is negative

Help Document

Diagnosis

You are attempting to perform a multi-level price determination for the material. However, a negative price was calculated for the procurement alternative (internal number ) in currency/valuation .
The price of the alternative is calculated by valuating the receipts associated with the procurement alternative with the standard price of the material and adding the variances of the input material.
Apparently, in this case, the preliminary valuation at standard price is lower than the credit through the input materials.

This can have the following causes:

1. With one or more input materials, the system calculated a sizeable credit to the periodic unit price as compared to the standard price for the actual input materials.
   If the standard prices are correct, then perhaps not all production orders for the input materials were settled. By settling these production orders, you minimalize the variances that are allocated to the output material through multi-level price determination. This virtually ensures that a negative price will not result.
   If, on the other hand, the standard prices are incorrect, then the relevant input materials were also withdrawn from the production orders of the output material with a wrong price, so that there are enough single-level variances for the output material available to compensate for the variances that resulted from multi-level costing of the input materials. The single-level variances, however, are not included in this check.
2. Work in Process was calculated for the production orders. Work in Process is not, however, included in multi-level price determination. This leads to the allocation of too many variances from the input materials to the output material. This can also lead to a negative price for the output material.
   If this is the case, you can set the Reduced Actual BOM indicator. If this indicator is set, the system automatically reduces the input quantities of the relevant procurement alternative. Thus, less input quantity differences are rolled up to the procurement alternative. If this is not sucessful, the input quantities of the relevant procurement alternatives are set to zero so as to exclude the differences.

System Response

The system does not allow a negative price.

Procedure

Procedure for System Administration

History

Last changed on/by	20140121	SAP
SAP Release Created in